Legal & Tax

A full range of consulting and service on establishment, changing or closing of Wholly-Foreign Owned Enterprises, Joint Ventures and Representative Offices.

We serve and assist foreign companies with all kinds of questions regarding investment in China. With our long experience in dealing with the Chinese law, local Chinese companies and government bodies, we can provide you with helpful and practical information on corporate establishment. Our Chinese and German lawyers have a broad knowledge base and wealth of experience.

We advise you on the formal options and on the risks and regulations involved. We provide assistance by analyzing suitable sites and locations for the company, conducting negotiations with governmental investment zones and business partners, by arranging the complete set of documents required for starting a company and accomplishing the registration procedures.

We aim not only to help establish your company in China in an efficient and effective manner, but also to support your long-term successful operation in this country. For companies already operating in China we offer advice and support in transforming existing companies in relation to the shareholders, registered capital, and business scope etc. We can also assist companies that wish to close their operations in China due to changes in company strategy.

Legal review, drafting and translation of business contracts and other legal documents which are necessary for operating in the Chinese market. 

In negotiating and closing contracts in China special attention must be paid to a number of legal and other circumstances. We help you to prepare your contract while taking the prevailing Chinese regulations, as well as social etiquette, into account. We can help you to draft or review the contracts needed for your operation in the Chinese market, such as

• Lease Agreement,
• Labor Contract,
• Cooperation Agreement,
• Supply Agreement,
• Distribution Agreement,
• Licensing Agreements on Technology or a Trademark, etc.

In addition, we offer a translation service in German, Chinese and English for contracts, annual reports and other legal documents.

We provide complete information regarding Chinese taxation laws and regulations applicable to your specific case. Find out more!

Profound basic information regarding the Chinese taxation laws and regulations applicable to the specific case presented to us. Find out more

Complete information regarding customs laws and regulations in China applicable to your specific case.

We analyze your specific case and inform you about the relevant customs, laws and regulations, and describe the effects of these regulations on your case. You get accurate information about the following Chinese laws and regulations:

• Customs tariffs
• Special customs control on certain merchandise groups, e.g. used mechanical and electrical products, food and beverage, medical instruments, waste material, etc.,
• Processing trade
• Temporary import and export
• CCC certification
• Certificates of origin, etc.

For more client-tailored consulting on customs-related aspects and practical implementation of customs formalities we can recommend professional consultancy firms or import/export agencies.

Mediation services for German companies involved in disputes with their Chinese partners regarding the non-fulfillment or breach of contracts. 

The German Industry and Commerce encourages conciliation between the parties. We provide German companies with mediation services to settle disputes regarding the non-fulfillment or breach of contracts, for example if payment is delayed. This entails lower costs and often leads to a quicker settlement.

In accordance with Chinese law, we are not allowed to represent your company in court proceedings at Chinese people's courts. In China only Chinese attorneys are allowed to litigate. However, through our legal network with Chinese law firms we can serve as the contact point for Chinese attorneys.

Basic Due diligence services on checking the existence and status of potential Chinese partners. 

Due diligence at the initial phase can help foreign companies to avoid many problems in doing business in China. If you do not have a long-term business relationship with your Chinese partners, it is advisable to check the reliability of the company in advance, so as to reduce your business risk.

We can provide you with various forms of credit reports which include detailed information concerning registered capital, shareholders, financial statements, credit rating etc.

Tailor-made advice on the management of Intellectual Property in China, especially for SME's.

We inform potential investors in China about Chinese IPR laws and regulations. We also give tailored advice to investors on how best to manage and protect their intellectual property. We undertake all formalities for registering domain names, trademarks and patents in China.

We provide support in cases of IPR-infringement to German companies. This includes letters to the relevant authorities in China, lobbying, advising on the best course of action and seeing the company through the proceedings if the case is brought to court (serving as the contact point to a Chinese attorney). Please note that only Chinese attorneys can litigate in China.

Hong Kong registered businesses are eligible to have value added tax paid in Germany refunded. Such transactions occur either during business trips (payments for hotel rooms, car rental etc.) or when paying invoices of German vendors of goods or services.

The application has to fulfill certain requirements:

• It must be a Hong Kong company and registered with the Hong Kong Inland Revenue Department
• The invoices must be machine printed and issued in the name of the applicants company
• The application has to be filed no later than six months after the end of the calendar year when the expenses occurred
• The minimum claim in one calendar year cannot be less than €500 or €1000 for periods less than 12 months

Our services include:

• Handling of entire refund process and liaison with the German tax authorities
• Screening of invoices
• Handling of documentation
• Filing application and monitoring the process
• Transfer of refund into client’s bank account
• Handling of disputes
• Providing special advice

Service Fee:

We charge 20% of the net refunded amount (GCC members enjoy the regular discount)

Please contact our colleague in Hong Kong for more details.